Grocers in Trinidad and Tobago have removed VAT from most of the selected basic items stipulated by the government, president of the Supermarkets Association, Heeranand Maharaj, said on Monday.
Maharaj confirmed that most of the 15 percent tax “changes are registered”, noting that grocers were only yesterday being informed that aerated beverages (carbonated beverages) include the energy drink, Lucozade.
“There are still a couple clarifications to be finalised, … so we are talking with suppliers to get the complete list, since one or two items may have been missed,” he said.
The Board of Inland Revenue, which is a department in the Ministry of Finance, in advertisements issued last week, announced that VAT had been removed from a host of items, adding that the move became legal from January 31, 2007.
However, while the 15 per cent tax was removed from the stipulated items back in January, most suppliers, manufacturers and supermarkets indicated that they were not informed and consumers were still being charged VAT on the selected items.
VAT was subtracted from tomato ketchup, prepared mustard, aerated beverages, corn flakes, biscuits, soya bean, corn and sesame oils, chicken sausages, canned salami sausages, unsweetened grapefruit juice for infant use and concentrated, orange drink, soy sauce, vinegar, dishwashing liquid and detergents, both liquid and solid forms, among other items.
Meanwhile, Maharaj also registered his displeasure that some suppliers had issued notices for a fresh crop of increases, some of which came into effect on Monday.
The range of goods which will have the new wave of price hikes include dishwashing liquid, solid and liquid detergents, sausages, soft drinks and biscuits-all of which have had VAT sliced from their final prices.
“We would have liked to see consumers get the full benefit of the VAT reduction, but that did not happen,” Maharaj said.
Legal and Consumer Affairs Minister, Christine Kangaloo, did not immediately return calls yesterday, but indicated on Friday that her officers would be out on the field yesterday and during the course of the week to gauge the new hikes.
Suppliers blamed rising costs in raw and packaging materials, freight and local transportation for the increases.
